Newly released data from the United States Census Bureau shows a decrease in the number of Americans who own their homes, according to an article on Housingwire.com.
“Just over two months ago, it seemed like [there] may finally be a light at the end of the tunnel as the homeownership rate in the United States increased for the second straight quarter, after falling to a 48-year low in the second quarter of 2015, but as it turns out, that growth may have been a mirage,” Ben Lane, senior financial reporter for HousingWire, wrote in “Homeowner rate falls again, nearing all-time low,” published April 28.
According to Lane, the Census Bureau is reporting a shift from 63.5% in the first quarter of 2016, down from 63.8% in the latter part of 2015. From 4th quarter 2015 to 1st quarter 2016, homeownership rates fell in three areas of the United States:
Northeast region— from 61.6% to 60.4%
South region — from 65.3% to 64.8%
West region — from 59% to 58.7%
The Midwest region saw the only increase, according to the data, moving from 68.1% in the fourth quarter of 2015 to 68.9% in the first quarter of 2016.
Although homeownership rates are down in the other three regions of the country, they could bounce back soon.
“The Midwest region is representative of the status of the broader U.S. recovery,” Jonathan Smoke, realtor.com chief economist said in a recent realtor.com article highlighting the 20 hottest real estate markets in the U.S.
“When Columbus, OH, is the 10th hottest market in the country, you know that the Midwest—and the U.S. overall—is back and doing well,” Smoke said.
In addition, according to Lane, the Census Bureau data reported a continued decrease in homeownership for those under 35, dropping to 34.2% in the first quarter from 34.7% in the fourth quarter — the lowest that figure has been in at least six years, he wrote. The homeownership rate for people in the 55 and 64 age bracket showed the only increase.